As it reels from the effects of what it termed a global economic downturn, the Nigerian digital asset exchange platform, Quidax, recently said it had laid off employees who constituted 20% of its workforce. Despite the layoffs, Quidax reportedly told its customers it is ‘not going anywhere, anytime soon.”

‘No Relationship With FTX’

The Nigerian cryptocurrency exchange, Quidax, reportedly claimed that the ensuing global economic downturn had forced it to let go 20% of the platform’s “exceptionally talented people.” The exchange insisted the lay-offs were not linked to the FTX collapse-fueled turmoil in crypto markets and that Quidax itself had “no relationship with FTX”

Before the global economic downturn, Quidax, which sponsored Nigeria’s biggest reality television show Big Brother Naija, had better prospects. According to a report by Nairametrics, the crypto exchange even “made several plans and growth projections.”

Severance Packages for Laid-off Workers

However, the economic slowdown in China, the United States, and the Eurozone area meant growth projections had to be revised downwards, the crypto exchange reportedly said. Explaining its decision to lay off employees, Quidax reportedly said:

Following the economic downturn around the world, we have had to make some tough decisions at Quidax. We had to say goodbye to 20% of our exceptionally talented people. We deeply value our people and it has not been an easy decision to make.

In addition to giving the affected employees their severance packages, Quidax said it will connect them to its “network of companies and founders within the fintech space.”

Meanwhile, the crypto exchange is quoted in the report stating that it is “not going anywhere, anytime soon.” The exchange reassured its customers that their funds are not only safe but also insured.